Why is the rent so darn high? The role of growing demand to live in housing-supply-inelastic cities

Howard, Greg; Liebersohn, Jack

doi:10.1016/j.jue.2021.103369

Cited by 18 publications

(6 citation statements)

References 56 publications

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“…It increased by N30, 000.00 from 2016 to 2017 and increased by N50, 000.00 from 2017 to 2018 but dipped by N50, 000.00 from 2018 to 2019 which came about as a result of a consensus between the landlords and tenants that the rent was too exorbitant and needed to be reduced to make it more affordable. (Olayinka et al, 2013) as well as market forces (Howard & Liebersohn, 2021) were identified as reasons why rental values in Rantya-Gyel tended to appreciate from 2009 to 2019. In Rantya-Gyel since the number of potential tenants is higher than the accommodation available this has led to landlords charging exploitative rents and this is facilitated by the absence of any rent regulating agency.…”

Section: Rental Values From 2009 To 2019mentioning

confidence: 99%

Assessment of the Variations in Residential Rental Values in Rantya-Gyel Jos, Plateau State, Nigeria

Benshak,

Adepetu,

Aliboh

2024

AJESRE

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This study has investigated the changing residential rental values in Rantya-Gyel from 2009 to 2019. The main objective was to determine the extent and trend of changes in residential rental values of different categories of accommodation. The study hypothesised that residential rental values have witnessed significant increases, that the increases were demand-driven; and that the type of accommodation demanded by tenants was influenced by their demographic and socio-economic status. Questionnaire-based interviews and direct field observation were used to elicit information from landlords, property agents and tenants. The Statistical Package for Social Sciences (SPSS 17) software package was employed in analysing rent values, socio-demographic characteristics of tenants and types of accommodation. The chi-square and analysis of variance (F-ratio) techniques were employed in testing the hypotheses. The study found that the rent of different categories of accommodation had gone up by more than three-fold and most of the tenants (Christians) came from Jos north. Rental values doubled during the said period of investigation, housing types were mostly 2-bedroom flats and occupation/income was significantly related to accommodation. Demand and supply factors, as well as market forces, were identified as reasons why rental values in Rantya-Gyel tended to appreciate from 2009 to 2019. The study therefore recommends that the government should formulate policies and put in place strategies that increase the supply of housing in Rantya-Gyel and enhance integration.

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Section: Rental Values From 2009 To 2019mentioning

confidence: 99%

Assessment of the Variations in Residential Rental Values in Rantya-Gyel Jos, Plateau State, Nigeria

Benshak,

Adepetu,

Aliboh

2024

AJESRE

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“…We decided not to use rents data from Zillow given the shorter time dimension (data starting only in 2015). The rent index from Howard and Liebersohn (2021) is available for 217 MSAs, which contrasts with only 25 MSAs published by the Bureau of Economic Analysis. Data on rents are not available for four states (Alaska, Hawaii, New Hampshire, and Vermont).…”

Section: Datamentioning

confidence: 99%

The Housing Supply Channel of Monetary Policy

Albuquerque

2024

IMF Working Papers

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Vansteenkiste, participants at the Central Bank of Ireland conference "Financial stability policies in a changing lending landscape", the 9 th Ghent University Workshop on Empirical Macroeconomics, and seminar participants at the BIS, ESM, IMF, and Ghent University for helpful comments and suggestions. Frederic Opitz gratefully acknowledges financial support from Ghent University's Special Research Fund (BOF).

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“…For example, changes in job opportunities and/or wages in different regions affect both house prices and migration, and there is a problem in identifying the separate effect of migration flows from the effect of other factors. In this article, we use lagged change in the number of jobs and also lagged changes in local income (Saiz 2007) and local wages (Sanchis‐Guarner 2017; Howard and Liebersohn 2021) to capture omitted variables and establish causality between migration and house prices. The fourth problem concerns the length of time that it may take for migration to affect house prices; housing prices cannot adjust immediately.…”

Section: Empirical Specificationmentioning

confidence: 99%

“…These studies all find a positive effect of internal migration on housing prices and/or rents. For example, Howard and Liebersohn (2021) examined the effect of internal migration on housing markets through the aggregate rent increase in all US cities and found that changing migration demand explains 54 per cent of rent increases and 75 per cent of CPI rent increases in the United States from 2000–2018. For Chinese cities, a 1 per cent increase in inter‐regional migrants (rural‐to‐urban migration) results in a 0.70 per cent (0.34 per cent) increase in housing prices when controlling other relevant factors (Wang, Hui and Sun 2017).…”

Section: Introductionmentioning

confidence: 99%

Local House Price Effects of Internal Migration in Queensland: Australia's Interstate Migration Capital

Erol¹,

Unal

2023

Australian Economic Review

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We examine the causal impact of internal migration on housing prices across 82 Statistical Areas Level 3 regions in Queensland, Australia from 2014–2019. The primary findings are: (i) an annual increase in the inflow of migrants equal to 1 per cent of a region's initial population leads to a 0.6 to 0.7 per cent annual increase in Queensland's house prices across different empirical specifications; (ii) this effect differs between the Greater Brisbane metropolitan area and Rest of State areas; (iii) migration from New South Wales fails to produce a significant influence on house price growth in Queensland.

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Why is the rent so darn high? The role of growing demand to live in housing-supply-inelastic cities

Cited by 18 publications

References 56 publications

Assessment of the Variations in Residential Rental Values in Rantya-Gyel Jos, Plateau State, Nigeria

Assessment of the Variations in Residential Rental Values in Rantya-Gyel Jos, Plateau State, Nigeria

The Housing Supply Channel of Monetary Policy

Local House Price Effects of Internal Migration in Queensland: Australia's Interstate Migration Capital

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